Governance remains complex due to the Dayton structure, but reforms in energy, environment, and infrastructure are advancing. Security is supported by EUFOR, and the country remains generally safe for travel. Looking to 2026, BiH is expected to continue gradual economic growth, deepen EU‑related reforms, and confront demographic challenges.
Introduction
Bosnia and Herzegovina (BiH) is a multiethnic state in the western Balkans, shaped by its Ottoman, Austro‑Hungarian, Yugoslav, and post‑war histories. It remains a candidate for EU membership, with accession negotiations opened in March 2024.
Geography
BiH covers ≈51,200 km², bordered by Croatia, Serbia, and Montenegro, with a 20 km coastline on the Adriatic. The terrain is dominated by mountains and valleys, with hot summers and cold winters.
People and Society
Population (2024 est.): ≈3.8 million. Major ethnic groups: Bosniaks 50%, Serbs 31%, Croats 15%. Religions: Muslim 50.7%, Orthodox 30.7%, Catholic 15.2%. Life expectancy: 75.5 (men), 81.6 (women).
Government
BiH is a federal, multi‑party parliamentary republic composed of:
- Federation of Bosnia and Herzegovina
- Republika Srpska
- Brčko District (self‑governing)
The tripartite Presidency rotates every eight months among Bosniak, Serb, and Croat members. The Council of Ministers forms the central government.
Population
BiH faces population decline due to low birth rates and emigration. Net migration rate (2024 est.): –0.4‰. Youth share (under 15): 13.1%; seniors (65+): 18.6%.
Economy
GDP (2024): €26.2B; GDP growth (2025): 1.7%; inflation (May 2025): 3.7%; unemployment (2024): 11.7%. Currency: Convertible Mark (BAM), fixed at 1 EUR = 1.96 BAM.
The World Bank notes stable but insufficient growth, with structural reforms needed to prevent continued emigration and to support EU integration. Growth slowed to 1.7% in Q1 2025 due to weak investment and rising food prices.
Energy
BiH submitted its Integrated National Energy and Climate Plan (NECP) for 2030 in 2024. Environmental governance is decentralized, and the country is working to strengthen its legal and monitoring frameworks as part of EU accession obligations.
Communications
Calling code: +387; languages: Bosnian, Croatian, Serbian. Internet and telecom infrastructure is moderately developed, with ongoing modernization tied to EU digital standards.
Transportation
BiH continues to expand road networks with international support. New road projects aim to improve connectivity, jobs, and economic growth. Terrain makes infrastructure development challenging, but progress is steady.
Military and Security
EUFOR maintains ~1,600 peacekeeping troops to ensure stability under the Dayton framework. Security remains generally stable, though political tensions between entities occasionally slow reforms.
Travel Advice (2025)
Travelers typically find BiH safe, especially major cities like Sarajevo and Mostar. However:
- Political tensions can cause sporadic protests.
- Mountain regions require caution due to weather and terrain.
- Some remote areas may still contain landmine hazards from the 1990s conflict (inference based on historical patterns; not directly cited in 2025 sources).
Always check official government travel advisories before visiting.
Expected Trends for 2026
Based on 2024–2025 data and expert assessments:
- Moderate economic growth likely to continue (World Bank projects ~3.2% by 2027).
- EU accession reforms expected to accelerate, especially in environment, energy, and governance.
- Population decline may persist without major labor‑market and quality‑of‑life improvements.
- Infrastructure expansion (roads, energy systems) will remain a priority.
